FEDAI Rules-9, Schedule Of Charges.

Chapter 9- Schedule of Charges

1. Exports

   Type of Transaction

   Charges

   Bills purchased/ discounted/ negotiated Processing charges for each foreign currency export bill Processing charges for each Rupee export bill For forwarding export documents on which no collection commission or exchange accrues to the bank (i.e. from one bank to the other in India). Reimbursement charges under Letter of Credit. Forwarding export documents to another bank for negotiation to whom L/C is restricted by the bank which has Booked the forward contract. For joining customer’s guarantees and giving guarantees on behalf of custom- ers in respect of discrepant documents In case of overdue export bill purchased/ discounted/ negotiated where proceeds are not received within the stipulated period of 6 months. Applicable also in case of deferred exports if the relative export proceeds are not received within the stipulated period. Not applicable in case of bills drawn on countries with externalisation problems but paid in local currency and the exporter has obtained necessary approval from Reserve Bank of India. Collection Bills (Both foreign currency and rupees export bills) Equivalent of uptoRs.50,000 Equivalent of Rs.50,000 and above but unto Rs.2,00,000. Equivalent of Rs.2,00,000 and above Overdue export bill sent for collection Rs.250/- per quarter where proceeds are not received within 6 months. Applicable also in case of deferred exports if the relative proceeds are not received within the stipulated period. Not applicable in case of bills drawn on countries with externalization problems but paid in local currency and the exporter has obtained necessary approval from Reserve Bank of India. Where proceeds of bills are received through a bank other than the collecting bank at the instance of exporter/ overseas buyer additional charge. Certificates Issuance of certificated/ attestations in respect of export transactions. Registration of export contracts. For advance against duty drawback Entitlements. Export Letter of Credit Advising letter of credit Advising amendment Confirmation charges Commitment charges Usance charge Note: Where the amount of a L/C exceeds Rs.8 crores (or in equivalent foreign currency) banks will recover charges at their discretion subject to minimum charge recoverable on Rs.8 crores. Transfer of letter of credit of transfer. Acceptance commission for accepting usance drafts to be drawn on and accepted by banks in India.

   Minimum Rs.100/- (for bill upto US$ 5000/- or equivalent) Minimum Rs.500/- (for bill over US$ 5000/- or equivalent) 0.25% minimum Rs.100/- per bill Minimum Rs.100/- Minimum Rs.500/- 0.20% 0.25% minimum Rs.50/- Rs.250/- per quarter 0.25% minimum Rs.25/- 0.125% minimum Rs.125/- 0.0625% minimum Rs.250/- Rs.250/- per quarter 0.125% Rs. 20/- flat. (Banks may waive this Charge in their discretion) Minimum Rs.100/- per registration & Minimum Rs.50/- for every amendment. 0.50% with a minimum of Rs50/-. Minimum Rs.200/- per letter of credit. Minimum Rs.100/- per amendment 0.15% for every quarter or part thereof 0.15% for bills upto 10 days sight. 0.30% for bills over 10 days and upto 3 months’ sight. 0.30% for the first 3 months plus 0.0750% for every months in excess of three months, for bills over 3 months sight. Minimum Rs.200/- for each advice 0.15% per month

2. Imports

   Types of Transaction

   Charges

   Opening of Import Letters of Credit Commitment charge Usance charge On the first Rs.8 crores On the next Rs.8 crores On the balance Where the L/C amount is less than Rs.10,000/- Amendments to L/C Extension of validity of L/C within 3 months period (for which commitment charge has been collected) Where extension of validity of credit goes beyond 3 months (for which commitment charge has been collected upto 3 months). In case of enhancement of value of credit be collected as stated under 1.A. (a & b) above. In case of amendment extending the tenor of the Bill of Exchange. Amendment other than extension of validity or enhancement of tenor of the Bill of Exchange. For revival of expired L/Cs within 3 months from date of expiry. Countersigning bills of exchange drawn on importers under L/Cs Revolving Letters of Credit Commitment charge on the maximum amount of drawings permitted at any one time during the period from date of establishment of L/C to the last date of validity. (2) On each amount reinstated from the date of reinstatement to the date of subsequent reinstatement or the last date of validity of L/C. (Minimum charge for reinstatement Rs. 100/-). Usance charge (2) 0.30% for the bills over 10 days sight and upto 3 months sight. (3) 0.30% for the first 3 months plus 0.0750% for each month in excess of 3 months for bills over 3 months’ sight. For establishing L/Cs/ Guarantees on Deferred payment terms covering import of goods. Note: If the Deferred Payment Guarantee is backed by a counter guarantee of the Government of India the commission recoverable will be at 0.0625% instead of 0.40% per quarter. Amendments Extending validity period within 3 months (for which commission has already been collected). Where validity period is extended beyond 3 months period part thereof. Commission on import bills (under L/C) Foreign currency bills at the time of crystallization or retirement whichever is earlier. Import bills received under Letter of Credit on which no exchange benefit Accrues to opening bank. Rupees bills at the time of retirement. If bills are not retired within 10 days from date of receipt of bills in case of demand bills and on the due date in case of usance bills. Commission on import bills (not under L/C) Where exchange margin is earned on a foreign currency bill. On each bill drawn in Rupees and on each bill drawn in foreign currency on which no exchange margin accrues. On Rupee import bills received on collection basis exceeding Rs. 1 crore banks shall charge commission as under: On the first Rs. 1 crore On the amount which is in excess of Rs. 1 crore. On bills/ documents covering project imports under inter-government aid scheme (including those financed by international agencies like World Bank IMF, ADB, etc.) where no letters of credit are opened, commission shall be collected at a flat rate irrespective of the amount of each drawing at 0.03125%. In case of documents received by importers directly from overseas exporters, commission at half the rates applicable for import bills for collection should be recovered at the time of effecting the remittance. If the overseas remitting bank or the exporter abroad requests proceeds of collection bills to be remitted in a currency other than the currency of the bill. Local Payments Local payments out of proceeds of import bill such as payments in connection with barter business or payments to cases of need etc. Parcels When the value of the parcel exceeds Rs. 1 lac and advalorem charge based on Rental value and insurance cost will be Collected on a monthly basis.

   0.15% for every quarter or part thereof. 0.15% for bills upto 10 days sight. 0.30% for bills over 10 days and upto 3 months’ sight 0.30% for the first 3 months plus 0.0750% per month in excess of 3 months for bills over 3 months sight. Note: Where the L/C amount exceeds Rs.8 crores Normal rate as above. One-half of the above rates. One-fourth of the normal rates. Minimum Rs.100/- Minimum Rs.250/- Fresh commitment charge of 0.15% per quarter or part thereof, minimum Rs.250/- Both commitment and usance charge will Appropriate additional usance charge. Minimum Rs.250/- Commitment and usance charge from the Date of expiry to the validity date of the 0.085% per month with a minimum of 0.25% for the tenor of the bill in addition to usance and commitment charges as above. (1) 0.15% for every quarter or part thereof (1) 0.15% for bills upto 10 days sight 0.40% per quarter or part thereof. Minimum Rs. 400/- Further commission at 0.40% per quarter or 0.15% 0.25% Additional 0.15% 0.25% Minimum Rs. 50/- 0.50% Minimum Rs. 50/- At full rates as specified above At one-half of the rate specified above. Additional commission of 0.25% Minimum Rs. 250/-

3. Inward Remittances

   Type of Transaction Exchange and Interest rates applicable Encashment of TTs/ Purchase of MTs/ DDs in respect of which cover has been Received in Nostro Accounts. Encashment of TTs/ Purchase of MTs/ DDs where reimbursement is to be obtained in cover by drawing demand drafts on overseas branches or corres- pondent banks. 10 days. Encashment of customer’s personal cheques, demand drafts, international money orders, banker’s pay orders, payable abroad. Customer at domestic commercial rate of interest. Clean Payments Effected under instructions from foreign correspondents. Where the inward remittance has to be be paid in foreign currency by way of a demand draft/ mail transfer/ payment order/ telegraphic tansfer. Certificates For issuing bank certificates on security paper in respect of clean remittances from abroad and/ or for encahment of foreign currency travelers cheques/ foreign currency notes. Bank’s own letter head (where Rupee value of inward remittance does not exceed Rs. 5,000/-)

   Current TT buying rate (noexchange margin or interest to be charged). Current TT buying rate plus exchange margin of 0.125%. Interest to be recovered separately from the customer at the rate of 15% per annum for a transit period of TT buying rate plus exchange margin of 0.15%. Interest to be recovered separately for a transit period of 15 days from the Rs. 25/- (Banks may waive this charge in Their discretion) 0.10% Minimum Rs. 10/- Rs. 25/- per certificate. (Banks may waive this charge in their discretion) Rs. 20/- per certificate. (Banks may waive this charge in their discretion) Charge

4. Outward Remittances

   Type of Transaction	Exchange and Interest rates applicable
   On all foreign currency outward remittances not being proceeds of import bills. Rupee remittances Upto s. 10,000/- Over Rs. 10,000/-	Minimum Rs. 100/- 0.25% minimum Rs. 10/- 0.125% minimum Rs. 25/-

5. Clean Instruments for collection

   Type of Transaction	Exchange and Interest rates applicable
   On all clean instruments sent abroad Type of Transaction	0.25% minimum Rs. 10/- (Banks in their Discretion may waive the commission for Charge

6. Merchanting Trade- (If foreign currency remittances are received in advance by the export from the overseas buyer and the funds are held in nostro account at the specific request of the exporter)

   Commission
   a. On import bills received under back- to-back L/C. b. On export bills drawn by merchant exporters.	0.25% 0.25%

7. Forward Contracts

   For booking sale and purchase contracts	Minimum Rs. 250/- per contract
   For each request for early delivery, extension or cancellation.	Minimum Rs. 100/- + swap cost and Cancellation charges where applicable.

8. Foreign currency travelers cheques

   Sale of foreign currency traveler’s cheques
   Commission on Rupee equivalent value of travelers cheques sold to Indian residents Commission on foreign currency travelers cheques issued against foreign currency remittance at the request of the beneficiary.	Not exceeding 1% 0.25%

9. Guarantees

   Guarantees to public authorities except item ‘b’ below. Guarantees given to public authorities for export of goods ex-bonded warehouses without payment of excise duty. For countersigning of Llyod’s General Average Bond and Guarantee Guarantee in favour of shipping companies/ agencies for clearance of goods pending production of bill of lading relating to imports under L/Cs opened by the guarantor bank. Guarantees covering missing bills of lading relating to imports not covered by ‘d’ above. Export performance guarantees for projects exports which Bid-bonds Bonds for earnest money Guarantees for advance payment made by foreign buyers to Indian exporters/ contractors Export performance guarantees, Bid bonds etc. (other than for Project Exports) Export performance guarantees covering export obligations in terms of Import Trade Control Regulations. All other guarantees Minimum charge for any guarantee

   0.15% per month with a minimum of 0.25% for the specified period of liability plus an additional six months. If the guarantee is redeemed (i.e. returned duly cancelled) before the expiry of the additional six months, the additional charge may be refunded proportionately. 0.15% per month with a minimum of 0.25% for the specified period of liability. 0.15% per month with a minimum of 0.25% on the amount which would be required as a Cash deposit. Minimum Rs.200/- per guarantee 0.25% at the time of issue of the guarantee. If the guarantee remains current beyond three months additional commission of 0.15% per month or part thereof as long as the guarantee remains current thereafter. In the case of guarantees covered by projects exports which include ECGC counter guarantees, banks shall collect commission as well as ECGC premium at the under-noted rates and remit the collected premium to the ECGC. ECGC ECGC Bank Total Counter guarantees Premium w.e.f. 1.1.82 Commission w.e.f. 13.7.81 Cost to exporters Per annum 75% cover Upto Rs.1 crore 0.55% 1.35% Excess over Rs 1 crore 0.80% 0.30% 1.10% 90% crore Upto Rs.1 crore 0.95% 0.45% 1.40% Excess over Rs.1 crore 0.95% 0.25% 1.20% In case of guarantees issued against 100% counter-guarantees issued by Government of India, bank commi- ssion shall be as under: Upto RS. 1 crore: 0.45% p.a. Excess over Rs.1 crore: 0.25% p.a. In case of guarantees issued against cash deposit to the extent of bank’s liabilities commission shall be charged at the rate of 0.50% per annum In case of guarantees which are not covered by cash deposits or ECGC/ Government of India counter guarantees, commission shall be charged at the rate of 1% per annum. In case of bid bonds 25% of comm.- ission collected at the time of issue. If the bid materia-lises the balance 75% commission shall be collected. If the bid gets frustrated there will be no refund to commission collected. 0.085% per month with a minimum 0.25% 0.085% per month with a minimum 0.25% for the specific period of Liability. In case of early redemp- tion of the guarantee a minimum of 50% of the commission for the unexpired period i.e. from the date of redemption to the expiry date may be refunded. 0.15% per month with a minimum of 0.25% for the specified period of liability. Rs.250/-

10. Out of pocket expenses such as telex/ cable/ correspondent bank’s charges. Actuals will be recovered
11. Stamp Duty Will be recovered at the rates prescribed by Government from time to time.

Note 1:
In addition to the above schedule of charges, interest wherever applicable is payable as mentioned in the various Rules.

Note 2:
the charges included in the above schedule of charges shall be collected irrespective of whether a margin is obtained or not and shall not refunded or remitted in any event except a genuine mistake in collecting them on the part of the bank, or specially permitted in the Rule itself.

All charges are recoverable upfront unless specifically provided for in the Rule.